2014 CMHC Annual Report

Luisa Hough • May 7, 2015

This morning CMHC released it’s 2014 Annual Report… and they weren’t messing around. This is a comprehensive 130 page document that if you started to read right now, you might finish in time for the release of the 2015 report next year.

Now, just in case you have an appetite for government correspondence like this, I have included the report in it’s entirety below along with the official press release.

Bon appetit!

CMHC Releases Its 2014 Annual Report

OTTAWA, May 7, 2015 — Canada Mortgage and Housing Corporation (CMHC) today released its 2014 Annual Report.

“I’m very proud of what we accomplished in 2014,” said Evan Siddall, President and Chief Executive Officer. “Beginning with a new mission, to help Canadians meet their housing needs, we took steps in all our areas of business to ensure our operations are aligned with CMHC’s refocused approach, and to be a high-performing organization to provide the most value to Canadians.”

In keeping with the Corporation’s focus on housing needs and in support of the Government’s efforts to reduce taxpayer exposure to the housing sector, CMHC made important changes to its mortgage loan insurance and securitization business. This included premium and fee adjustments, changes to policies for low-ratio insurance, and the discontinuation of some products, including mortgage loan insurance for second homes and for the construction of multi-unit condominiums.

In 2014, CMHC’s total net income of $2.6 billion was provided for primarily by mortgage loan insurance and securitization activities. Total insurance-in-force, which represents the aggregate exposure of the mortgage loan insurance activity, stood at $543 billion as at December 31, 2014, down $14 billion from the beginning of the year. Over the past decade, CMHC has provided $21 billion toward improving the government’s fiscal position; $18 billion of this contribution was provided through the mortgage loan insurance activity.

CMHC’s strong underwriting practices and sound mortgage loan insurance portfolio are reflected in the 2014 results. Average credit scores at origination were 731 for transactional homeowner and 760 for portfolio, and the average borrower equity in CMHC’s insurance portfolio has remained stable at 46%. Other key figures show mortgage loan insurance claims paid during the year decreased by 4% from 2013 while the arrears rate remained relatively unchanged at 0.35%.

CMHC follows risk management practices as set out by the Office of the Superintendent of Financial Institutions.

In 2014, CMHC provided $117.6 billion in guarantees through its securitization programs. These guarantees help both small and large lenders access funds for residential mortgage lending, supporting competition in the mortgage market and contributing to the stability of the financial system. In 2014, CMHC also announced increases to its guarantee fees. This is an important step toward further reducing taxpayer exposure to the housing sector and encouraging the development of private market funding options.

The federal government, through CMHC, also provided investments of more than $2 billion for housing in 2014, including funding to support households living in existing social housing on and off reserve, and approximately $302 million in new commitments of affordable housing.

Throughout the year, CMHC worked with provinces and territories to extend bilateral Investment in Affordable Housing agreements to 2019, which included additional funding for Nunavut. From April 2011 to the end of December 2014, 217,772 households are no longer in housing need as a result of this funding.

CMHC provides objective housing research and advice to Canadian governments, consumers and the housing industry. In 2014, it continued to improve the availability of information on the housing market through reports such as CMHC’s Insurance Business Supplement and tools like the Housing Market Information Portal and the House Price Analysis and Assessment Framework.

CMHC’s 2014 Annual Report is available online at www.cmhc.ca/annualreport or by calling 1-800-668-2642.

CMHC helps Canadians meet their housing needs. As Canada’s authority on housing, we contribute to the stability of the housing market and financial system, provide support for Canadians in housing need, and offer objective housing research and advice to Canadian governments, consumers and the housing industry. Prudent risk management, strong corporate governance and transparency are cornerstones of our operations.

Follow CMHC on Twitter @CMHC_ca

Media inquiries:

Charles Sauriol
CMHC Media Relations
613-748-2799
csauriol@cmhc-schl.gc.ca

Annual Report Highlights — CMHC in 2014

Financial Highlights
Total Assets ($M) 248,490
Total Liabilities ($M) 230,308
Total Equity ($M) 18,182
Net Income ($M) 2,625
Assisted Housing
Amount provided by the federal government through CMHC for housing programs ($M) 2,010
Mortgage Loan Insurance
Number of units insured 308,820
Insurance-in-force ($B) 543
Average equity in CMHC’s insured transactional homeowner and portfolio (per cent) 46
Average credit score at origination for CMHC’s transactional homeowner loans insured in 2014 745
Average outstanding loan amount ($) 139,221
Securitization
Total guarantees-in-force ($B) 422
Annual securities guaranteed ($M) 117,643

Recent Posts

Make the Most of Summer: Outdoor Project Ideas for Every Space

By Luisa & Candice Mortgages • July 15, 2025
Summer in Canada is short—but sweet. With warm weather and long evenings, it’s the perfect time to get outside and enjoy your outdoor space, no matter how big (or small) it is. Whether you have a tiny patio or a sprawling backyard, a few creative upgrades can go a long way toward turning your space into your personal summer oasis. Below are ideas for every type of outdoor space, from cozy balconies to large backyards! For Patio-Only Spaces Limited to a balcony or concrete patio? No problem! Small spaces can still offer big enjoyment. 1. Upgrade the Flooring Add interlocking tiles to give your concrete floor a more polished look—wood grain, grass panels, or composite styles are all popular, easy-to-install options. 2. Create an Outdoor Movie Zone Hang a pull-down screen or grab a portable stand, pair it with a mini projector, and voilà—your very own outdoor movie theatre under the stars! 3. Start an Herb Garden Railing planters are perfect for growing basil, mint, parsley, and more. Fresh herbs at your fingertips—and they smell amazing too! 4. Add Some Twinkle Wrap fairy lights around your railing or overhead beams to bring cozy vibes and nighttime charm. 5. Grill Like a Pro Maximize your BBQ season with a compact baby-que. Weber’s Q Series is a great option for small spaces without compromising grilling power. For Small Yards A little yard can still pack a lot of personality. Here are ways to make the most of every square foot: 1. Game Time! Add a mini putting green or an axe-throwing target (just be safe!) for quick bursts of backyard fun that don’t take up much space. 2. Warm Up Your Nights Add a heating lamp or portable fire bowl to keep your evenings cozy well into the fall. 3. Grow Your Own Produce Build or buy a raised garden box to grow tomatoes, cucumbers, lettuce, or other easy vegetables. Gardening is relaxing—and delicious! 4. DIY Bird Bath Make a pedestal bird bath using an old vase, a platter, and strong glue. You likely have everything you need already at home—and the local birds will thank you! For Big Yards If space isn’t an issue, the sky’s the limit! Here are some larger-scale projects to take your yard to the next level: 1. Build a Catio Yep, it’s a “cat patio”! Give your feline friends a safe way to enjoy the outdoors with a screened-in enclosure attached to your home. 2. Create a Permanent Fire Pit Use stones and a fire ring to build a beautiful, safe fire pit. You can even add airflow cutouts to reduce smoke—perfect for those marshmallow roasts! 3. Tile a Dining Area Install paving stones or tiles to define an outdoor dining space. Add a table, some string lights, and enjoy al fresco meals all summer long. Need More Inspiration? If none of these projects quite fit your vision, check out Home Depot’s DIY backyard ideas—complete with step-by-step instructions and material lists to help you bring your outdoor dreams to life. Soak It Up While It Lasts No matter the size of your space, there’s always something you can do to enhance your outdoor experience. So get out there, get creative, and make the most of these sunny summer days. See you back here in August—with more tips, tricks, and homeowner insights!

What You Need To Know About Online Mortgage Calculators

By Luisa & Candice Mortgages • July 9, 2025
You’d think an online calculator is a pretty straightforward device, one that you should be able to place your confidence in, and for the most part, they are. Calculators calculate numbers. The numbers are reliable, but how you interpret those numbers, not so much, especially if the goal is mortgage qualification. If you rely on the numbers from a “What can I afford” or “Mortgage Qualification” calculator without talking to an independent mortgage professional, you’re going to be misinformed. Don’t be fooled. Even though an online mortgage calculator can help you calculate mortgage payments or help you assess how additional payments would impact your amortization, they’ll never be able to give you an exact picture of what you can afford and how a lender will consider your mortgage application. While mortgage calculators are objective, mortgage lending isn’t. It’s 100% subjective. Lenders consider your financial situation, employment, credit history, assets, liabilities, the property you are looking to purchase. Then, they will compare that with whatever internal risk profile they are currently using to assess mortgage lending. Simply put, they don’t just look at the numbers. An online calculator is a great tool to help you run different financial scenarios and help assess your comfort level with different payment schedules and mortgage amounts. However, if you rely on an online calculator for mortgage qualification purposes, you’ll be disappointed. The first step in the mortgage qualification process is a preapproval. A preapproval will examine all the variables on your application, assess your financial situation, and provide you with a framework to buy a property based on your unique circumstance. Securing a preapproval comes at no cost to you and without any obligation to buy. It’ll simply allow you the freedom to move ahead with confidence, knowing exactly where you stand. Something a calculator is unable to do. Please connect anytime if you’d like to talk more about your financial situation and get a preapproval started. It would be a pleasure to work with you.

Buying a Vacation Home? Here’s What You Need to Know

By Luisa & Candice Mortgages • July 8, 2025
The idea of owning a vacation home—your own cozy escape from everyday life—is a dream many Canadians share. Whether it’s a lakeside cabin, a ski chalet, or a beachside bungalow, a second property can add lifestyle value, rental income, and long-term wealth. But before you jump into vacation home ownership, it’s important to think through the details—both financial and practical. Start With Your 5- and 10-Year Plan Before you get swept away by the perfect view or your dream destination, take a step back and ask yourself: Will you use it enough to justify the cost? Are there other financial goals that take priority right now? What’s the opportunity cost of tying up your money in a second home? Owning a vacation home can be incredibly rewarding, but it should fit comfortably within your long-term financial goals—not compete with them. Financing a Vacation Property: What to Consider If you don’t plan to pay cash, then financing your vacation home will be your next major step. Mortgage rules for second properties are more complex than those for your primary residence, so here’s what to think about: 1. Do You Have Enough for a Down Payment? Depending on the type of property and how you plan to use it, down payment requirements typically range from 5% to 20%+ . Factors like whether the property is winterized, the purchase price, and its location all come into play. 2. Can You Afford the Additional Debt? Lenders will calculate your Gross Debt Service (GDS) and Total Debt Service (TDS) ratios to assess whether you can take on a second mortgage. GDS: Should not exceed 39% of your income TDS: Should not exceed 44% If you’re not sure how to calculate these, that’s where I can help! 3. Is the Property Mortgage-Eligible? Remote or non-winterized properties, or those located outside of Canada, may not qualify for traditional mortgage financing. In these cases, we may need to look at creative lending solutions . 4. Owner-Occupied or Investment Property? Whether you’ll live in the home occasionally, rent it out, or use it strictly as an investment affects what type of financing you’ll need and what your tax implications might be. Location, Location… Logistics Choosing the right vacation property is more than just finding a beautiful setting. Consider: Current and future development in the area Available municipal services (sewer, water, road maintenance) Transportation access – how easy is it to get to your vacation home in all seasons? Resale value and long-term potential Seasonal access or weather challenges What Happens When You’re Not There? Unless you plan to live there full-time, you'll need to consider: Will you rent it out for extra income? Will you hire a property manager or rely on family/friends? What’s required to maintain valid home insurance while it’s vacant? Planning ahead will protect your investment and give you peace of mind while you’re away. Not Sure Where to Start? I’ve Got You Covered. Buying a vacation home is exciting—but it can also be complicated. As a mortgage broker, I can help you: Understand your financial readiness Calculate your GDS/TDS ratios Review down payment and lending requirements Explore creative solutions like second mortgages , reverse mortgages , or alternative lenders Whether you’re just starting to dream or ready to take action, let’s build a plan that gets you one step closer to your ideal getaway. Reach out today—it would be a pleasure to work with you.

Luisa & Candice Mortgages 

Contact Me Anytime!

The best way to get ahold of me is to submit through the contact form below. However feel free to give me a shout on the phone as well.

Contact Us